Our Funds

Parnassus Fixed Income Fund

Investor Shares

Objective:

High level of current income consistent with safety and preservation of capital.

Strategy

The Parnassus Fixed Income Fund invests in approximately 95 holdings, primarily allocated among government, agency- and non-agency mortgages, and corporate bonds. A top-down view of the economy to assess future interest rates informs the Fund's duration target, which remains similar to that of the benchmark under normal circumstances. The Fund focuses on identifying:

Investing primarily in investment grade corporate bonds held in the Parnassus equity funds

By investing primarily in investment-grade bonds, the Fund provides investors an opportunity for an attractive level of current income consistent with safety and preservation of capital. No derivatives are used in implementing the Fund's strategy.

Risks

The Fund’s share price may change daily based on the value of its security holdings.
Bond prices are inversely related to interest rates. As interest rates drop, bond
prices will increase, and as interest rates go up, the value of bonds will decrease.
A security’s value may also be affected by the possibility that issuers of debt
obligations will not pay the Fund interest or principal, or that their credit rating
may be downgraded by a ratings agency. In addition, up to 20% of the Fund’s total
net assets may be invested in convertible securities, which may not have an investment-grade
rating. This would make them riskier than securities with an investment-grade rating.

Institutional Shares
Institutional Shares are generally for institutional investors and have a minimum
investment of $100,000. Institutional Shares are available to investors who invest
directly in the Fund as well as those who invest through certain intermediaries.
The minimum initial investment may be waived for group retirement plans. Please
see the prospectus for more details.

Investor Shares
Investor Shares are generally for individual investors have a minimum investment
of $2,000, which may be reduced to $500 for IRAs and certain custodial accounts.
Please see the prospectus for more details.

Alpha
A coefficient measuring risk-adjusted performance, considering the risk due to the
specific security, rather than the overall market. A large alpha indicates that
the stock or mutual fund has performed better than would be predicted, given its
beta.

Beta
A measurement of a fund's trailing 36-month returns in relation with the market
as a whole. A beta of 1 means that the share price moves exactly inline with the
market. A beta over 1 suggests that the share price will typically be more volatile
than the market, and conversely, a beta below 1 indicates that the share price will
typically be less volatile than the market.

Sharpe Ratio
A ratio used to measure risk-adjusted performance. It is calculated by subtracting
the risk-free rate from the rate of return for a portfolio and dividing the result
by the standard deviation of the portfolio returns.

As described in the Fund's current prospectus dated May 1, 2018, Parnassus Investments has contractually agreed to reduce its investment advisory fee to the extent necessary to limit total operating expenses to 0.68% of net assets for the Parnassus Fixed Income Fund—Investor Shares. This agreement will not be terminated prior to May 1, 2019, and may be continued indefinitely by the investment adviser on a year-to-year basis. The net expense ratio is what investors pay.

2 The Unsubsidized 30-Day SEC Yield is computed under an SEC standardized
formula based on net income earned over the past 30 days. It excludes contractual
expense reimbursements, resulting in a lower yield.

3 The beta shown for the benchmark is a blended five-year calculation including the Fund’s prior benchmark,
Barclays Capital U.S.Government/Credit Bond Index, prior to May 1, 2013 and the current benchmark, Barclays U.S.
Aggregate Bond Index thereafter.

The Barclays U.S. Aggregate Bond Index is an unmanaged index of bonds. An individual
cannot invest directly in an index. An index reflects no deductions for fees, expenses
or taxes, but mutual fund returns do.

Before investing, an investor should carefully consider the investment objectives,
risks, charges and expenses of a fund and should carefully read the prospectus or summary prospectus, which contains this and other information and can be found in our Forms and Documents
section. Investment return and principal value will fluctuate so that an investor’s
shares, when redeemed, may be worth more or less than their original principal cost,
and you could lose money.

The Parnassus Funds are underwritten and distributed by Parnassus Funds Distributor,
a subsidiary of Parnassus Investments and a
FINRA member.